[Economics] The Moroccan economy grows more than 15% in the second quarter

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The fall of all world economies due to the COVID-19 pandemic has wreaked havoc in the vast majority of countries on the planet. With the arrival of the vaccine, the data for this 2021 have improved considerably, reflecting a significant increase especially if we compare it with the statistics of the past 2020. In the case of Morocco, the latest indicators show a growth of 15.2% compared to last year's data, with agriculture as the main booming sector, which is more than 18% above the 2020 data.

"The recovery must continue, supported by the notable progress of the vaccination campaign, the very good agricultural season, the budgetary stimulus, as well as the accommodative stance of the monetary policy," says the statement that accompanies the report issued by Bank Al -Maghrib, the central bank of the Alawite kingdom. In fact, the latest report from the United States Department of Agriculture (USDA) shows that Morocco has broken its record for wheat production in 2021, making possible a reduction in imports of soft and hard wheat, needing almost one ton less than in 2020, when it imported just over five million tons.

 

 

The global cereal harvest is expected to exceed 10 million tons, leading to an increase of almost 19% in agricultural value added. The Moroccan central bank's growth projection indicates that GDP could increase by 6.2% this year, almost one point more than last quarter's calculations. However, although it is also growing, the non-agricultural economy lags much further behind, without reaching 5% growth compared to last year's data, although its added value has soared more than 14% compared to 2020.

"In 2022, growth should consolidate at 3%, covering a 3.3% drop in agricultural value added, under the assumption of a return to average cereal production, and a 3.6% increase in these. non-agricultural activities ”, they say from the Bank Al-Maghrib. The main reason that has driven the growth of agriculture has been the change in trend with respect to the drought that reduced crops during the past year. This drought, together with the collapse of tourism, caused a loss of more than 430,000 jobs and a 7% recession that is now being tried to combat with the improvement of the health situation.

 

Morocco hopes to continue with this upward trajectory that has led it to improve its forecasts for the end of the year. For this they know that they cannot trust everything to the agricultural sector and that they know that “this behavior (of the crops) is mainly due to the abundant rains during the cereal growing season,” as the USDA pointed out. They have already launched different initiatives to accompany agricultural growth with that of other sectors. One of these movements is the one presented at Expo Dubai 2020 called “Marocco Now”, with the intention of promoting investment in Morocco and its commercial representation.

 

Link: https://atalayar.com/content/la-economía-marroquí-crece-más-de-un-15-en-el-segundo-trimestre